When it comes to branding, brand positioning is one of the keys to building your brand for the right audience. Understanding where the brand stands is also helping business owners to differentiate the brand from their competitors.

But, how do we actually position our brand? Might as well, know the right steps to create powerful brand positioning for the business we’re working on. Let’s break it down through sharp and clear explanations in this article.

What is Brand Positioning?

The process of positioning the brand in the customer’s mind is called brand positioning. In this case, the position is not necessarily mean geographical location, but more into where do your brand stands in the midst of the market compared to existing competitors.

It is part of marketing strategy to convey the brand’s value proposition to appeal the right consumer in the right market. The brand could also leverage this positioning insight to help the product development process to suit the market better.

The effectiveness of brand positioning could be analyzed through how your brand is perceived as favorable, valuable, and credible to the consumer. The combination of those three indicators creates unique points for your brand and carve out a special place in the customer’s mind.

The Importance of Brand Positioning

Let’s move on to why positioning is important. More than just fancy a logo and tagline, building a brand also needs proactive work on positioning the brand itself. So, here’s why brand positioning is important for your business:

1. Clear Way to Share Brand Value

Positioning helps brands to have a clear way of communicating to share their value which is offered to customers. It can go both ways, internally through brand positioning statements and externally through various marketing strategies.

This can only be achieved by addressing who their customers are and maintaining the relevancy of the value proposition offered to customers. Being consistent with your way of communication is also key to grabbing customers’ trust and attention.

2. Differentiate Your Brand

Brand positioning allows a brand to differentiate itself from its competitors. It also brings clarity to who you serve and their circumstances. Analyze similar competitors in the same positioning to help create a unique and powerful identity.

Explain why your brand is the best at what it does and have distinctive products to set your brand apart from competitors. Not only product, you can also differentiate your brand through customer service, social media, pricing, etc.

3. Justify Pricing Strategy

Along with the right communication and identity, your pricing strategy could reach a higher range in suitable positioning. Effective pricing strategies balance what customers are willing to pay and maximize the result of your company’s bottom line.

Higher-pricing products often offer quality and exclusivity. You can emphasize your suitable pricing strategy so it becomes reasonable from the customers’ point of view to purchase the product. It applies to affordable range products too.

Creating Powerful Brand Positioning

After all the explanations above, you might wonder how to create a powerful brand positioning strategy. First and foremost, as a critical entrepreneur, you need to adjust these steps if needed. Understanding your own brand is a top priority before establishing a positioning strategy.

Here’s the steps you need to do:

1. Know Your Products

Take deep research into your products and services to understand whether what are you selling is in the best condition or quality. Including ingredients, production methods, distribution channels, supporting features, and more.

Getting the idea of the roots of the products helps you mark your stand in the right positioning. Doing competitive research also helps business owners to understand the market better.

2. Determine Unique Value Propositions

Unique Value Proposition or USP is a marketing statement that differentiates a product or service from competitors. It can only be determined by knowing the product or service well. For instance, you are selling t-shirts. You can determine the USP by offering customized designs based on the customers’ personalities which is carried out on a simple personality test.

Do not overlook small ideas, because sometimes being different is better than being perfect. Simple steps might grab your customer’s attention and trigger new trends among the same market segmentation.

3. Create Positioning Framework

Place your shoes on customers’ points of view. Based on your value position, which one is your most similar competitor and suitable market segmentation. Craft your positioning to define the key message, mission statement, tone of voice, elevator pitch, sample touch point, and so on.

After understanding the proper framework, you can create a brand positioning statement which usually consists of one or two sentences. For instance, Amazon’s positioning statement is “Our vision is to be the earth’s most customer-centric company.”

To clarify your positioning, you can also create a position map involving value proposition and similar competitors. Here is an example:

After determining the positioning of the brand, you can also provide customers with payment services based on their needs. Each group of customers might have different preferences in the payment channels they choose, so make sure to provide suitable payment options.

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